Life's complicated for telecom investors

The DoT estimates that it will receive Rs 29,524 cr in revenue from the telecom industry in FY18, which is 38% less than the Budget revenue target of Rs 47,300 cr for FY18

The September quarter (Q2) results indicate that it’s hard going for telecom services. The industry will soon be down to three major private service providers with two loss-making PSUs limping on. RComm has defaulted on debt and registered a loss of over Rs 2,700 crore, with revenues dropping 45 per cent in Q2. Idea Cellular also saw falling revenues and a loss of Rs 1,100 crore. Idea also sold its portfolio of 10,000 towers for 30 per cent less than expected. 

Bharti Airtel has also seen sustained pressure on revenues and margins. Bharti Airtel saw consolidated profits drop by about